RATHOD GAURAV KUMAR DEVJIBHAI vs STATE OF GUJARAT

Court
Gujarat High Court

R/SCR.A/1071/2025 JUDGMENT DATED: 03/11/2026
(GJHC240044292025)
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
R/SPECIAL CRIMINAL APPLICATION (QUASHING) NO. 1071 of 2025
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RATHOD GAURAV KUMAR DEVJIBHAI
Versus
STATE OF GUJARAT & ANR.
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Appearance:
MR. MAULIK M SONI(7249) for the Applicant(s) No. 1
MR PM DAVE(263) for the Respondent(s) No. 2
MS DHWANI TRIPATHI, APP for the Respondent(s) No. 1
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CORAM: HONOURABLE MR. JUSTICE J. C. DOSHI

Date : 03/11/2026

JUDGMENT
1. Rule returnable forthwith. Learned APP waives service
of notice of Rule for and on behalf of respondent - State.
Learned advocate Mr. P.M.Dave waives service of notice of
Rule for and on behalf of respondent No.2-original
complainant.
2. The present application is filed under section 528 of
Bharatiya Nagrik Suraksha Sanhita, 2023 for quashment of
the judgment and order dated 11.11.2024 passed in
Criminal Case No.6963 of 2019 by the learned Additional
Judicial Magistrate First Class, Mehsana whereby, the
present petitioner was convicted for the offence punishable
under section 138 of the N.I.Act.
3. At the outset, it is submitted by learned advocates for
the respective parties that the dispute is resolved between
the parties and the complainant has given no objection if
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R/SCR.A/1071/2025 JUDGMENT DATED: 03/11/2026
(GJHC240044292025)
the order of conviction is quashed and set aside. The
complainant is present before this Court, identified by the
learned advocate on his behalf who has filed an affidavit in
support of the petitioner.
4. Having heard learned counsel appearing for the
respective parties, as well as considering the facts and
circumstances arising out of the present application,
settlement affidavit and also taking into consideration the
decisions rendered in the cases of Gian Singh Vs. State
of Punjab & Anr. , reported in (2012) 10 SCC 303 ,
Madan Mohan Abbot Vs. State of Punjab , reported in
(2008) 4 SCC 582 , Nikhil Merchant Vs. Central
Bureau of Investigation & Anr. , reported in 2009 (1)
GLH 31, Manoj Sharma Vs. State & Ors. , reported in
2009 (1) GLH 190 and Narinder Singh & Ors. Vs. State
of Punjab & Anr. reported in 2014 (2) Crime 67 (SC) as
well as State of Haryana Vs. Bhajanlal reported in AIR
1992 SC 604 , it appears that continuing further with the
criminal proceedings in relation to the impugned FIR and
the Criminal Case against the applicants-accused would be
an unnecessary harassment to the applicants-accused. It
further appears that the trial would be a futile exercise and
further continuing with the criminal proceedings pursuant
to the impugned FIR and the Criminal Case would amount
to abuse of process of law. Hence, to secure the ends of
justice, the impugned FIR as well as the proceedings of the
Criminal Case, so also all other consequential proceedings
are required to be quashed and set aside in exercise of the
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R/SCR.A/1071/2025 JUDGMENT DATED: 03/11/2026
(GJHC240044292025)
powers conferred under Section 528 of the Bharatiya
Nagarik Suraksha Sanhita, 2023.
5. This Court has also referred the decision rendered by
the Apex Court in the case of SANJABIJ TARI V/S
KISHORE S BORCAR & ANR , reported in 2025
LawSuit(SC) 1302, wherein it is held that since a very
large number of cheque bouncing cases are still pending
and interest rates have fallen in the last few years, this
Court is of the view that it is time to 'revisit and tweak the
guidelines'. Accordingly, the aforesaid guidelines of
compounding are modified as under:-
"THE GUIDELINES
“(a) If the accused pays the cheque amount before
recording of his evidence (namely defence
evidence), then the Trial Court may allow
compounding of the offence without imposing any
cost or penalty on the accused.
(b) If the accused makes the payment of the cheque
amount post the recording of his evidence but prior
to the pronouncement of judgment by the Trial
Court, the Magistrate may allow compounding of
the offence on payment of additional 5% of the
cheque amount with the Legal Services Authority
or such other Authority as the Court deems fit.
(c) Similarly, if the payment of cheque amount is
made before the Sessions Court or a High Court in
Revision or Appeal, such Court may compound the
offence on the condition that the accused pays
7.5% of the cheque amount by way of costs.
(d) Finally, if the cheque amount is tendered before
this Court, the figure would increase to 10% of the
cheque amount.”
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R/SCR.A/1071/2025 JUDGMENT DATED: 03/11/2026
(GJHC240044292025)
6. Considering the overall submissions and the fact that the
parties have amicably settled the dispute, present
application is allowed. The judgment and order dated
11.11.2024 passed in Criminal Case No.6963 of 2019 by
the learned Additional Judicial Magistrate First Class,
Mehsana is hereby quashed. In view of the quashment of
the FIR and the subsequent proceedings arising therefrom,
the applicant shall be released forthwith, if not required in
connection with any other case.
7. The present petitioner is directed to deposit an amount
equivalent to 7.5% i.e. Rs.30,000/- of the cheque amount
(Rs.4,00,000/-) with the Gujarat High Court Legal Aid
Services Authority within a period of three weeks from
today.
8. If the petitioner accused fails to deposit the aforesaid
amount within stipulated time period, the same shall be
recovered as fine. Necessary recovery warrant shall also be
issued and the concerned Collector shall recover the aforesaid
amount as arrears of land revenue.
Rule is made absolute accordingly.
(J. C. DOSHI,J)
SATISH
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